Demutualisation has ripped through many countries’ mutual sectors, as people have sought to cash in on many decades, even centuries, of legacy assets that were built up by generations of members. Yet it has not happened everywhere and there are lessons we can learn from those countries with large co-operative and mutual sectors.
In this new publication Mutuo’s Peter Hunt examines the history and impact of demutualisation, the stated reasons given for it, and explores in detail last year’s failed attempt to demutualise the UK’s second largest mutual insurer, LV=. The document concludes with a toolkit which sets out clearly how demutualisation can be stopped by a mixture of member action, media spotlight and political support.
We’re pleased to announce the launch of the updated Business Council for Co-operatives and Mutuals [BCCM] Sector blueprint. Conceived and produced by Mutuo, BCCM’s updated strategy document reflects the success of its advocacy over its short history as well as the new priorities of the Australian co-operative and mutual sector.
In his latest Mutuo think piece, Cliff Mills talks about the policy opportunity for mutual social housing.
AMICE, the European Association of Mutual Insurers and Insurance Cooperatives has published a political manifesto entitled “United in Diversity” laying out the sector’s proposal for political action to enable the sector to fully exploit its potential. The manifesto has been produced by
Lord Myners is currently reviewing the governance structure of the Co-operative Group. This is not the first review – Mutuo contributed to such a project in 2007. Of course the context was different from today, but many of the key issues around co-operative business governance remain the same.
Since 2008 when the Mutuals Yearbook was first published, the world around us has changed significantly. It is clear that all mutual organisations have endured a difficult economic climate in which to operate. Our members have had their own pressures and have had to face some searching questions about the soundness of the mutual model.
By their very nature, mutuals are limited in how they can raise capital. Like all businesses, they can retain profits and can borrow against future earnings, but they have no equity shareholders and so do not have access to this type of prime capital.
The mid term manifesto seeks to take a fresh look at the role that mutuals can and should play in the business and social future of the United Kingdom.
Mutual businesses have reasserted their position in the UK high street, with figures unveiled today showing a combined mutual sector turnover of £116bn and one in three consumers doing business with a mutual in the last year.
